BOJI CRO(SZ:300404)2016-08-26 16:00Financial Performance - Total revenue for the first half of 2016 was CNY 23,225,168.49, a decrease of 62.15% compared to CNY 61,363,567.18 in the same period last year[16]. - Net profit attributable to shareholders was a loss of CNY 1,678,476.13, representing a decline of 113.56% from a profit of CNY 12,377,741.74 in the previous year[16]. - Operating cash flow for the period was a negative CNY 19,028,895.13, a significant drop of 2,650.75% compared to CNY 746,011.06 in the same period last year[16]. - Basic earnings per share were CNY -0.0126, down 105.66% from CNY 0.2228 in the previous year[16]. - Total assets at the end of the reporting period were CNY 510,316,924.16, a decrease of 1.89% from CNY 520,151,941.71 at the end of the previous year[16]. - Shareholders' equity attributable to ordinary shareholders was CNY 424,338,153.88, down 1.93% from CNY 432,683,630.01 at the end of the previous year[16]. - The weighted average return on net assets was -0.39%, a decrease of 4.70% from 4.31% in the previous year[16]. - The company reported a significant increase in investment activity, with cash flow from investment activities reaching ¥43,832,304.87, a 2,315.32% increase compared to the previous year[35]. - The company experienced a 35.75% decrease in R&D investment, totaling ¥2,475,935.33 for the reporting period[35]. - The company reported a net loss of CNY 307,027.76 for Guangzhou Boji Clinical Research Center Co., Ltd.[44]. Operational Developments - The company is enhancing clinical trial quality standards and personnel training to improve service levels in response to regulatory changes[22]. - The company has established a wholly-owned subsidiary, Guangzhou Jiutai Medical Technology Co., Ltd., to focus on clinical trials for medical devices, with over 20 projects currently under research[30]. - The company is advancing the construction of a "consistency evaluation center" for solid oral preparations, with over 60 personnel involved in the evaluation work[30]. - The company organized two academic seminars on consistency evaluation to enhance technical capabilities and align with national policies[30]. - The company is facing risks from slow clinical trial progress due to regulatory scrutiny, impacting revenue and net profit[28]. - The company plans to participate more in international multi-center clinical research to enhance competitiveness against multinational CROs[24]. - The company is addressing potential disputes arising from clinical trial data self-inspection and the impact on its brand image and operations[22]. Investment and Funding - The company signed a framework agreement to establish a new drug industry investment fund, focusing on pre-market new drug cultivation and R&D projects[33]. - The company completed the construction of a 20,266 square meter biopharmaceutical technology park, which will provide various services including project incubation and clinical trial drug production[33]. - The total amount of raised funds was CNY 188,536,100, with CNY 56,234,000 invested during the reporting period[52]. - CNY 68,709,700 has been cumulatively invested from the raised funds, including CNY 4,985,500 from self-owned funds[53]. - The company reported a total investment commitment of 18,839.5 million CNY for various projects, with 5,623.4 million CNY already utilized[56]. - The company has not encountered any issues regarding the use and disclosure of raised funds during the reporting period[57]. - The company did not engage in any significant non-fundraising investment projects during the reporting period[59]. Shareholder and Equity Information - The company reported a total profit distribution of 6,667,000.00 CNY, with a cash dividend of 0.50 CNY per 10 shares based on a total share capital of 133,340,000 shares as of December 31, 2015[71]. - The cash dividend distribution was completed by June 7, 2016, following the shareholder meeting on May 26, 2016[72]. - The company has maintained a clear and transparent profit distribution policy, ensuring the protection of minority shareholders' rights[73]. - The company has not reported any overdue principal or interest during the reporting period[68]. - The company has a commitment that if the stock price falls below the offering price for 20 consecutive trading days, the lock-up period will be automatically extended by six months[99]. - The company has established a plan to stabilize stock prices within three years post-IPO, which includes increasing shareholdings if the stock price falls below the latest audited net asset value per share[99]. - The company has confirmed that all major shareholders have strictly adhered to their commitments as of the report date[97]. Financial Health and Liabilities - The company's total liabilities at the end of the period were CNY 225,341,000.00, which needs to be monitored for financial health[154]. - The total equity attributable to shareholders was CNY 399,320,768.61, down from CNY 404,744,925.29, representing a decline of approximately 1.1%[132]. - Current liabilities totaled CNY 71,510,464.81, down from CNY 75,978,931.67, reflecting a decrease of approximately 5.8%[132]. - Non-current liabilities were CNY 5,961,880.49, slightly reduced from CNY 6,207,226.08, indicating a decrease of about 4.0%[132]. - The company’s total liabilities and equity at the end of the period were not specified but are critical for assessing financial health[149]. Compliance and Governance - The financial report was approved by the board of directors on August 25, 2016[164]. - The company has maintained its ability to continue operations for at least 12 months from the reporting date[166]. - The financial statements comply with the requirements of the Accounting Standards for Enterprises, reflecting the company's financial position, operating results, and cash flows accurately[169]. - The company operates on a calendar year basis, from January 1 to December 31[170]. - The company has several subsidiaries, including Guangzhou Boji New Drug Clinical Research Center Co., Ltd. and Beijing Zhongwei Bicheng International Pharmaceutical Technology Co., Ltd.[164]. Accounting Policies - The company recognizes revenue based on specific accounting policies tailored to its operational characteristics[167]. - The company categorizes its financial assets into four classes, including financial assets measured at fair value with changes recognized in profit or loss[181]. - The company employs a perpetual inventory system and conducts regular inventory counts[192]. - Financial assets are derecognized when the risks and rewards of ownership are transferred, with the difference between the carrying amount and the consideration received recognized in the current period[184]. - The company assesses the net realizable value of inventory based on estimated selling prices minus estimated selling expenses and related taxes[192].